Lenzing issues update on Hygiene Austria: mask quality assured; transferring ownership to Palmers

LENZING, Austria, April 6, 2021-

Over the past four weeks, Lenzing AG has worked intensively together with Palmers Textil AG to address the allegations concerning Hygiene Austria LP GmbH. Lenzing concluded that measures had to be taken immediately in light of the state of its public image. The following steps have been or will be taken in cooperation with Palmers Textil AG:

Along with the performance specifications needed to ensure the sound and continuing existence of the company as a going concern, the two shareholders have agreed that Lenzing’s stake in Hygiene Austria will be transferred to Palmers. Lenzing will waive its right to a suitable purchase price for the time being in order to ensure the continued existence of Hygiene Austria in line with its founding principle. In turn, this should enable Palmers to provide further funding to the company.

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